News: 0183612452

  ARM Give a man a fire and he's warm for a day, but set fire to him and he's warm for the rest of his life (Terry Pratchett, Jingo)

Bitcoin Falls To $60,000 As Zcash Bug Rocks Crypto (coindesk.com)

(Friday June 05, 2026 @05:00PM (BeauHD) from the out-of-thin-air dept.)


Bitcoin [1]briefly fell below $60,000 on Friday, "extending its weekly loss to nearly 20% and threatening to fall below $59,000," reports CoinDesk. Crypto was also hit by a 40%-plus plunge in Zcash after Shielded Labs [2]disclosed a years-old bug that could have allowed undetected counterfeit ZEC creation. From the report:

> Now, with stocks in plunge mode -- the Nasdaq down nearly 4% on Friday -- bitcoin finds itself perfectly correlated. "Short term, Bitcoin feels like swallowing broken glass," wrote Jeff Swanson Friday. "The chart goes up. It goes down. It makes grown men cry into their Robinhood accounts and CNBC anchors smugly declare the funeral, for the eleventh time." "Here's what uncomfortable people don't understand: the discomfort is the yield. Every paper-handed panic seller is handing their future to someone with a longer time horizon and a colder storage device."

>

> [...] Earlier, Shielded Labs, a nonprofit developer on the privacy token system, disclosed a critical vulnerability in Zcash's (ZEC) Orchard privacy pool that could have threatened the integrity of the token's supply. The vulnerability, if exploited, could have allowed an attacker to create an unlimited number of counterfeit ZEC tokens, completely undetected. "Think of it as someone secretly gaining access to the Federal Reserve's dollar printing press, except in this case, even the Fed wouldn't be able to tell these extra dollars were printed," [3]wrote Omkar Godbole. Importantly, the vulnerability was discovered with help from Anthropic's recently released Opus 4.8 AI model, raising difficult questions for the entire crypto industry. More to come on that. ZEC is now down 42% over the past 24 hours.

On Wednesday, the Zcash Foundation [4]said : "The vulnerability was caught before any known exploitation occurred. There is no evidence of unauthorized value creation. Zcash's turnstile mechanism (which tracks the total ZEC balance across all value pools) confirmed that the total supply remained intact throughout. User privacy was not affected. Sapling and transparent transactions continued operating normally throughout the incident."



[1] https://www.coindesk.com/tech/2026/06/05/live-updates-bitcoin-below-usd62-000-ahead-of-jobs-data-as-zcash-bug-rocks-crypto

[2] https://x.com/CoinDesk/status/2062193322563625425

[3] https://www.coindesk.com/markets/2026/06/05/zcash-plummets-30-as-developer-reveals-a-major-bug-that-went-undetected-for-four-years

[4] https://zfnd.org/zebra-4-5-3-and-5-0-0-emergency-soft-fork-and-nu6-2-activation/



A 50% correction is mild for bitcoin ... (Score:3)

by drnb ( 2434720 )

A 50% correction, $120K'isj to $60K'ish, is mild for bitcoin. A 75% correction, ie around $30K, would be far more typical. 75% is what generally happens after one of the hyperbolic runs up.

Re: (Score:2)

by drnb ( 2434720 )

> It was at over. 120k at its peak two or two and a half years ago at the start of the current trump term. Back during the last big push to convince people to buy crypto. It has not stoped falling since. The big investors obviously are pulling their money out to maybe buy the IPO's coming up. This after convincing the average investors to buy buy buy...... So all reason says it has a lot more to fall. Can a consistent decline of 60% over two and a half years with no signs of leveling out really be called a correction ?

The 75% corrections are not as fast as the hyperbolic rides up. They also tend to be followed by rather long plateaus.

We'll see how well this pattern holds, but it's probably too soon to make a call. One thing is very different from those past corrections. More Wall Streeters are involved and more non-technical people are involved. However the more diverse ownership shares the same motivations, then and now, high risk / high reward speculation. Maybe there will be fewer HODL advocates as a result.

I was told this was a good investment (Score:2)

by wakeboarder ( 2695839 )

better than gold...

One day it started to fall, and didn't stop (Score:2)

by locater16 ( 2326718 )

I am reminded of a description of the 2001 .COM bust. One day the stock market began falling, and it just refused to get back up again. No single "black day", no one flinging themselves to their deaths on Wallstreet, just a steady drumbeat of failing companies finally collapsing into insolvency and then shuttering.

The old market hypothesis used to be called the "efficient market hypothesis", positing that somehow the collective wisdom of the crowds would create the perfect market. The new market hypothesi

Delusional Statement (Score:2)

by omnichad ( 1198475 )

> Every paper-handed panic seller is handing their future to someone with a longer time horizon and a colder storage device.

As long as it is permanently unused, it's worth infinite money. That is how currency works, I guess.

Re: (Score:2)

by awwshit ( 6214476 )

> Every paper-handed panic seller is handing their future to someone with a longer time horizon and a colder storage device

Crypto Religion, just hang on and believe

Obvious solution ... (Score:2)

by fahrbot-bot ( 874524 )

> The vulnerability, if exploited, could have allowed an attacker to create an unlimited number of counterfeit ZEC tokens, completely undetected.

Each token needs a serial number so fake ones can be detected. ;-)

New shiny (Score:2)

by stabiesoft ( 733417 )

Could be the btc guys are selling so they can get in on the myriad of offerings coming very soon. OpenAI, spacex, heck even google is floating a 85B offering for more cash. I could see a crash from all this. In order to participate in these offerings, you gotta get the cash from somewhere and AI is the new shiny. I saw an article saying google is dropping a cool B/month at the xai dc's. A billion a month. Can't wrap my head around that. For context, there are 300M in the US roughly, or 3 bucks a head for on

It's worth 0 (Score:1)

by br1984 ( 9617674 )

Get rid of all this garbage already, the only use for these bullshit imaginary "currencies" is to facilitate international crime and violence. F all of this, it's all worth 0, the same as the pink ponies in your dreams.

It is undignified for a woman to play servant to a man who is not hers.
-- Spock, "Amok Time", stardate 3372.7